A. Employee Benefits

1.   State Delegation of Authority

1.1   State law (RSA 187-A:16, I, II, III, V, VI, and XVI) delegates to the Board of Trustees authority to hire, employ, and compensate such personnel as are "needed to provide a well-coordinated system of public higher education."

2.   General Policy on Benefits

2.1   The University System shall provide an employee benefits program designed to attract and retain competent faculty and staff in a cost-effective manner.

2.2   The University System benefits program may include a flexible benefits plan. Benefits offered under such a plan may include, but are not necessarily limited to, medical and dental coverage, and life and disability insurance.

2.3   The Board of Trustees is committed to a single program of University System-wide benefits consistent with its status as a single employer. The University System will continue to review industry specific data; however, the benefit programs will be designed with the expectation that there is a single set of benefits for all faculty and staff.

2.3.1   Standards for Exceptions. There are circumstances where USNH may seek to differentiate benefits for a specific employee group. The standard for these exceptions will require: a clearly articulated rationale; an analysis of the cost effectiveness including ease of administration; an analysis of the internal equity and fairness; and an analysis of the extent to which other organizations make the proposed differentiation in benefits (for example, other universities commonly provide sabbatical leave options to tenured faculty but not necessarily to other employee groups).

2.3.2   Procedure for approval of the exception. A proposal to establish a different benefit for a specific group of employees will require a recommendation from the Chancellor and approval by the Board of Trustee committees on Programs and Services and Financial Affairs.

3.   Trustee Delegation of Authority

3.1   The Board of Trustees delegates to the Personnel Committee oversight responsibility for the administration of the employee benefits plan. The Personnel Committee must approve any changes to the current plan and any change which affects cost must be approved by the Financial Affairs Committee.

3.2   The Board of Trustees delegates to the Chancellor the authority to design the University System benefits plan in accordance with financial and benefits parameters authorized by the Board of Trustees. The Chancellor shall report at least annually to the Personnel Committee on the effectiveness and suitability of the current plan with recommendations for changes to such plan if appropriate.

4.   Employee Benefits Philosophy Statement

4.1   The University System of New Hampshire (USNH) recognizes that employee benefits are an essential part of an employee's total compensation plan. The goal of the benefits program is to support employees and assist the University System of New Hampshire and its faculty and staff in providing the State of New Hampshire with the highest quality of education today and in the future. In order to provide benefits that will aid in the recruitment and retention of qualified faculty and staff, the University System of New Hampshire will pursue an aggressive program to provide and develop options to meet their needs.

4.2   It has long been the intent of USNH to support employees and their families by providing benefit options that enable employees to extend protection to others such as spouse and dependents. This support includes the recognition that additional costs are incurred in providing these options.

4.3   The commitment of the University System of New Hampshire extends beyond the needs of active employees. This includes the provision of services to disabled workers and retirees with a support framework for individual retirement planning. It is aware of, and will consider the continuing demographic changes in the work force and in the general population when reviewing benefit options.

4.4   It is desirable for both the University System of New Hampshire and its employees to promote an efficient and effective use of benefits by maintaining an ongoing communication program. It is further acknowledged that positive working conditions and support of the physical and mental health of employees and their families must be maintained; that protection against the potentially catastrophic consequences of short or long-term illness is needed, and that efforts must be made to reduce the financial impact of an employee's death. The University System of New Hampshire fully supports the goal of educational opportunities for all employees to the benefit of the individual and each institution.

4.5   The University System of New Hampshire will endeavor to minimize the financial impact of the benefit program on faculty and staff and each member institution through the continued practice of health care management and the development of cost-reduction and cost-containment policies. The benefit programs must be maintained or extended as needs evolve and provide USNH and the employee the flexibility to adjust the full range of benefits provided. It is understood that in order to provide cost-effective health care, a sharing of the costs between USNH and the employee must occur. Such cost sharing must involve establishment of co-insurance percentages, deductible levels and program ceilings for all participants.

4.6   The University System of New Hampshire recognizes the importance of benefits to all parties and issues this statement of philosophy to support the principles of current and future programs.